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Singapore-based operator PSA International has announced that its Indian subsidiary Bharat Mumbai Container Terminals Private Limited (BMCT) signed the concession contract with Jawaharlal Nehru Port Trust (JNPT) to build and operate India's largest container terminal, the Jawaharlal Nehru port (JNPT) fourth terminal.
Tan Chong Meng, CEO of PSA International, stated:
Bharat Mumbai Container Terminals Pvt Ltd is PSA International's latest port project in India. PSA will work along with Jawaharlal Nehru Port Trust to develop this very important terminal in India to cater to the increasing demand for container handling capacity, and facilitate maritime trade in India.
In February 2014, PSA's offer of 35.7% revenue share was the highest for the Rs80 billion (US$1.3 billion) fourth container terminal. The company beat out competition from Adani Ports & SEZ, who offered 29% revenue share.
The project will be developed on a design, build, finance, operate, transfer (DBFOT) basis for a period of 30 years. The concession contract was signed on 6 May 2014.
This is the second time that PSA wins the concession for the same project at JNPT. The first time, in a consortium with ABG Ports, it had offered a 50.8% revenue share. Later, the consortium was unable to finance the project and requested to withdraw in September 2012.
The first phase of the fourth terminal at JNPT is expected to commence operations in early 2018. It will have three container berths, a total quay length of 1km, equipped with 12 quay cranes, for a designed capacity of 2.4 million TEUs. The second phase will double those figures to six berths, 2km of quay, 24 cranes and an annual capacity of 4.8 million TEUs.